v3.26.1
Common Stock
6 Months Ended
Jun. 30, 2026
Common Stock  
Common Stock

8. Common Stock

B. Riley Purchase Agreement

In April 2024, the Company entered into a common stock purchase agreement (“Purchase Agreement”) with B. Riley Principal Capital II, LLC (“B. Riley”). Pursuant to the Purchase Agreement, the Company had the right, but not the obligation, to sell to B. Riley, from time to time, up to $50.0 million worth of shares of its common stock subject to certain limitations and conditions at the Company’s sole discretion.

During the first quarter of 2026, the fair value of the common stock forward liability was reduced to zero based on restrictions of the ATM Agreement that prevented the Company from making additional sales under the Purchase Agreement and remained zero as of June 30, 2026.

In connection with the Purchase Agreement, the Company issued 56,818 shares of its common stock (“Commitment Shares”), which included a make-whole provision requiring the Company to reimburse B. Riley in cash if the fair value of these shares is less than $0.25 million. The Company recognized $0.3 million as a liability within accrued payables (see Note 5), which remains outstanding until the Commitment Shares are sold.

During the six months ended June 30, 2026, the Company did not sell any shares of common stock under the Purchase Agreement. The Purchase Agreement expired on July 1, 2026.

At-Market Offering

In April 2025, the Company entered into an at-market sales agreement with B. Riley Securities, Inc. and H.C. Wainwright & Co., LLC, acting as sales agents. The ATM Offering under the ATM Agreement is made pursuant to Rule 415 and a universal shelf registration statement on Form S-3, which became effective on April 9, 2025, for an aggregate amount of $200.0 million, including up to $120.0 million allocated to the ATM Agreement, as amended in June 2026 by filing a prospectus supplement pursuant to Rule 424(b)(5) relating to the offer and sale of the additional $45.0 million of common stock.

There is no commitment for future sales of additional shares under the ATM Agreement or ATM Offering. During the three and six months ended June 30, 2026, the Company sold shares of its common stock under the ATM Agreement for gross proceeds of approximately $42.9 million and $55.7 million, respectively in cash, partially offset by issuance costs of $1.4 million and $1.8 million, respectively. As of June 30, 2026, approximately 19.4 million shares of common stock remain available for future issuance under the ATM Agreement.

Common Stock Reserved for Issuance

The Company has reserved shares of common stock for issuance as follows (in thousands):

 

 

June 30,

 

 

December 31,

 

 

2026

 

 

2025

 

Common stock warrants

 

 

41,918

 

 

 

43,533

 

Legacy GCT Earnout Shares

 

 

20,000

 

 

 

20,000

 

Shares available for future grant from 2024 Plan

 

 

1,566

 

 

 

2,254

 

Unvested restricted stock units

 

 

1,430

 

 

 

1,336

 

Shares available for future grant from 2024 ESPP

 

 

600

 

 

 

600

 

Convertible promissory notes

 

 

500

 

 

 

1,450

 

Vested and unreleased restricted stock units

 

 

445

 

 

 

110

 

Options issued and outstanding

 

 

331

 

 

 

346

 

Total

 

 

66,790

 

 

 

69,629